Question by D’Shante L: Is a home based daycare considered a business?
Im thinking about starting a home-based daycare. Ive been looking for an apartment but been having a hard time because they don’t allow businesses in the apartments. But in Ohio a home based daycare doesn’t have to be licensed if watching under six kids so if Im not licensed, is that still considered a business? Also, do I have to go through getting approved to run a daycare if Im just offering to watch kids while the parents are at work instead of actually teaching them?

Best answer:

Answer by David MIf you expect to offer a service and receive payment in return, you are running a business.

And the pertinent question is going to be what the lease on the apartment you get allows and what is doesn’t allow…even if for some reason you are not technically running a business.

People will be coming by your apartment to drop off and pick up kids, kids will be making noises in the apartment, parents may be creating a parking problem, so you better anticipate having complaints from your neighbors to the landlord or property manager.

You also need to understand, the primary issue with the children is their safety and well being. I think you should go through the approval process both to prove to yourself you are ready to handle the trust that the parents are going to place in you and to help you in successfully marketing your services.

Question by Baristo: Can you run an online business from your apartment in Washington State?
I’m going to be establishing an online business (LLC) in 2010 and would initially be running it from my apartment before moving into a house. Is this “okay” by Washington State standards or is it specific to the apartment complex/company? There would be zero clients/customers coming to the apartment as this will be strictly online.

Best answer:

Answer by strong58usYes — people do this all the time (I live in Washington State, but it’s the same anywhere in the U.S.).

You can deduct a portion of your rent and utilities on your taxes — figure out the total square footage of your apartment, decide how many square feet you’re devoting to your “office,” and figure out the percentage of the total. Then you can deduct that percentage of your rent and utilities.